Boeing Co. (BA) said it would assemble new U.S. Air Forcetrainer jets at its main military aircraft facilities inMissouri if it wins a three-way contest for a program estimatedby analysts to be worth around $16 billion.

The move sets up the St. Louis plant in competition withfacilities in Alabama and South Carolina run or planned byBoeing's rivals in bidding to build an initial 350 T-X jets.

Ticker Security Last Change %ChgBA Opens a New Window. BOEING COMPANY 183.53 -0.14 -0.08%LMT Opens a New Window. LOCKHEED MARTINCORPORATION 278.16 +1.13 +0.41%RTN Opens a New Window. RAYTHEON COMPANY 161.48 +0.29 +0.18%Boeing said winning the contest would support around 1,800 jobs,but didn't disclose if any new ones would be created if it winsthe contest due to be decided later this summer and assemblesplanes in the St. Louis facility, where test aircraft have beenbuilt in partnership with Sweden's Saab AB.

The Boeing offering is the only "homegrown" entrant from primedefense contractors, with Lockheed Martin Corp. (LMT) offering aversion of a plane developed by Korea Aerospace Industries Ltd,while Italy's Leonardo SpA entered its own widely used trainerafter dropping a planned joint bid with Raytheon Co. (RTN)

The Pentagon requires the winner to assemble planes in the U.S.,though parts are drawn from global supply chains. NorthropGrumman Corp. pulled out of the contest earlier this year afterdesigning an all-new plane.

Boeing already builds its F-15 jet fighter and the F/A-18aircraft widely used by the U.S. Navy in St. Louis, and the T-Xwould help maintain experienced workers at the plants as ordersbecome scarce.

The U.S. company has explored a potential move of the F-15production line to India, to win a big combat jet deal, and theextension of F/A-18 work hinges in part on Boeing securingoverseas orders for the planes.

Boeing's recent complaint against Bombardier Inc. over allegedpredatory pricing of the CSeries passenger jet has led someanalysts to question whether it can hang on to a potential dealoutlined last year to sell 18 F/A-18s to Canada, which hasrejected the charges.

"Canada is also a natural customer for P-8 maritime patrolaircraft and many other Boeing military products," said RichardAboulafia at Teal Group in a client note. "Unless, that is, theystart looking to anybody but Boeing for their defense needs."

The International Trade Commission is due to hold an initialhearing on Boeing's complaint on May 18.

Boeing has identified winning the T-X contest as a priorityafter its joint bid with Lockheed to build a new Air Forcebomber lost out to Northrop. The plane flew for the first timein December.

Employment at Boeing facilities in Missouri had dipped to justunder 14,000 by the end of Marchsecond only to Washington state -- from around 16,000 a decade ago.

Lockheed would assemble the T-50A jet developed with KoreaAerospace for the T-X contest in Greenville, S.C., where it alsoplans to shift production of its F-16 combat jet from Fort Worth.

Italy's Leonardo says it would build a plant in Tuskegee, Ala.,for its offering and create 750 jobs if it wins the Air Forcecontract.